Strengthening NATO’s eastern flank

Welcome to Balance of Power, bringing you the latest in global politics. If you haven’t yet, sign up here.Nearly two years after Sweden appl [View in browser]( [Bloomberg]( Welcome to Balance of Power, bringing you the latest in global politics. If you haven’t yet, sign up [here](. Nearly two years after Sweden applied to join NATO, the final piece of the puzzle [will fall into place]( today when Hungary’s parliament ratifies the Nordic country’s accession. Bringing Sweden into the fold will add naval capabilities in the Baltic Sea and modern fighters that can help patrol the Arctic. It will also make it easier to transfer troops and equipment to the alliance’s eastern flank. Stretching some 1,600 kilometers (994 miles) from north to south, Sweden would be a crucial transit country for reinforcements to the Baltic nations and Finland [if Russia attacked](. Finalizing membership will also be a relief to the Swedes themselves. They mostly supported the decision to abandon a long-held policy of military non-alignment following Russia’s full-scale invasion of Ukraine. While Sweden hasn’t fought a war in more than 200 years, political and military leaders have recently issued warnings that citizens should be mentally prepared for conflict. Domestic backing for NATO membership remains high, although the minority that opposes it has been energized by the prospect of turmoil from a second Donald Trump presidency. Sweden is not directly in the cross-hairs of Trump’s criticism of allies for not spending enough on defense, though, as it will reach NATO’s 2% of GDP goal this year. Military expansion is set to continue, including infrastructure upgrades to allow NATO troops to traverse Swedish territory. For now, the 32nd flagpole that has been raised outside NATO headquarters in Brussels remains empty. But once Hungarian lawmakers cast their votes and the necessary documents are submitted in Washington, Sweden’s blue and yellow flag will shortly flutter next to that of Turkey — which like Hungary needed a pledge of fighter jets [before it agreed]( to Swedish membership. — [Niclas Rolander]( Soldiers from the Swedish Amphibious Corps and US Marines on an assault craft during exercises in September 2023. Photographer: Jonathan Nackstrand/AFP/Getty Images Global Must Reads Israeli Prime Minister Benjamin Netanyahu said he’ll have a “[plan for action](” for moving the civilian population out of Rafah ahead of an offensive to “dismantle” remaining Hamas battalions. Separately, the prime minister of the Palestinian Authority, Mohammad Shtayyeh, said he and his government [will step down](, though it’s unclear if President Mahmoud Abbas will accept the resignation. Ahead of a special election, UK Prime Minister Rishi Sunak and opposition Labour leader Keir Starmer are seeking to steer British politics back to domestic affairs and [tone down]( political conflict over the Israel-Hamas war after a chaotic debate in Parliament last week ended in partisan recriminations. Still, Thursday’s election in Rochdale, a town in northwestern England, has turned into a proxy for the Israel-Gaza debate as well. Ukraine has lost 31,000 soldiers since Russia’s full-scale invasion two years ago, President Volodymyr Zelenskiy said, as he stressed that a decision from the US Congress on $60 billion in aid [was needed]( within a month. Zelenskiy said Kyiv has a “clear plan” for 2024, while making a blockbuster claim that parts of its 2023 battle strategy had been leaked to Russia. Former Brazilian President Jair Bolsonaro led the first major conservative rally since leaving office at the end of 2022 following his election defeat, [attracting some 750,000 supporters]( on to the streets of Sao Paulo yesterday. The turnout demonstrates that Bolsonaro remains the most potent right-wing figure in the country, despite legal problems including being barred from office until at least 2030. Jair Bolsonaro arrives at a rally in Sao Paulo yesterday. Photographer: Dado Galdieri/Bloomberg Malaysia’s king weighed in to shore up Prime Minister Anwar Ibrahim’s government after the nation’s currency, the ringgit, fell to a 26-year low amid reports that the opposition was [seeking to destabilize the administration](. Sultan Ibrahim Iskandar, the ruler of the southernmost state of Johor, took the throne last month under Malaysia’s unique system of rotating monarchy, whereby the hereditary royals of nine states take turns serving as king. Feleti Teo was elected unopposed as prime minister of the small Pacific nation of Tuvalu, a decision which [may have implications]( for one of Taiwan’s remaining diplomatic allies in the region. Radoslaw Sikorski raised eyebrows with [an acerbic put-down]( of Russia’s UN ambassador on Friday in New York, the Polish foreign minister vigorously repudiating Kremlin talking points used to justify the invasion of Ukraine. Qatar is seeking more gas deals in Europe and Asia in a bet demand will continue to grow as it embarks on a new multibillion-dollar [project to expand exports](. Washington Dispatch Former South Carolina Governor Nikki Haley will hold rallies in Michigan and Minnesota today after being [soundly defeated]( by Trump in her state’s Republican presidential primary at the weekend. Haley says she’ll stay in the race at least until Super Tuesday on March 5, when more than a dozen states and one territory vote. Michigan holds its primary tomorrow. Yet she stands almost no chance of overtaking Trump on his path to the 2024 nomination. Although she has been able up to now to rely on robust fundraising, the Charles Koch-backed Americans for Prosperity Action said yesterday it would [cut off funding](. Since endorsing her in late November, the group has spent more than $32 million in support of Haley. Trump and his allies, keen to turn their focus on President Joe Biden and the November election, have repeatedly urged Haley to end her campaign. In his victory speech in South Carolina, Trump barely mentioned her. But she will likely continue to give voters a variation of her defiant vow after losing the primary: “I’m not giving up this fight when a majority of Americans disapprove of both Donald Trump and Joe Biden.” Trump is expected to have amassed enough delegates for the nomination by mid-March. Meanwhile, Senate Majority Leader Chuck Schumer said congressional efforts to put together a spending package [fell short]( over the weekend, leaving the US to “once again face the specter of a harmful and unnecessary government shutdown” starting March 2. One person to watch today: Treasury Secretary Janet Yellen heads to Sao Paulo for meetings of the Group of 20 finance ministers and central bank governors. [Sign up for the Washington Edition newsletter]( for more from the US capital and watch Balance of Power at 5pm ET weekdays on Bloomberg Television. Chart of the Day Extraordinary scenes including regulators turning up on trading floors to monitor transactions in person have played out in China in recent weeks in [a clampdown that’s rewriting the rules]( of computer-driven trading. The country’s once-booming quant industry has become the latest casualty of Beijing’s campaign to stop a $4 trillion selloff in stocks, prompting questions about how far President Xi Jinping’s government will go to meet short-term goals at the expense of maintaining some pretense of a free market. And Finally Fawning coverage of political leaders. Newsroom censoring of reporters who ask the government tough questions. Ahead of India’s elections, New Delhi Television has morphed into a [state mouthpiece](, according to current and former employees. The nation still has a vibrant media, but to many journalists, changes at NDTV and diluted coverage illustrate how Prime Minister Narendra Modi, helped by tycoon allies taking over news outlets, has effectively brought to heel a once-riotous media. The NDTV office in the Archana Arcade building in New Delhi. Photographer: Anindito Mukherjee/Bloomberg Thanks to the 48 people who took part in the Friday quiz and congratulations to Anna Chernyshova, the first to name Brazil as the country whose president compared Israel’s war on Hamas with the Holocaust. More from Bloomberg - Check out our [Bloomberg Investigates]( film series about untold stories and unraveled mysteries - [Bloomberg Opinion]( for a roundup of our most vital opinions on business, politics, economics, tech and more - [Next Africa](, a twice-weekly newsletter on where the continent stands now — and where it’s headed - [Economics Daily]( for what the changing landscape means for policy makers, investors and you - [Green Daily]( for the latest in climate news, zero-emission tech and green finance - Explore more newsletters at [Bloomberg.com](. Follow Us Like getting this newsletter? [Subscribe to Bloomberg.com]( for unlimited access to trusted, data-driven journalism and subscriber-only insights. 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